Stocks Falling As Relationship Between The UK And US Is Strained

Major European stock indexes fell on Tuesday as the United Kingdom and the United States found themselves embroiled in a diplomatic scandal after the United Kingdom's ambassador to Washington, Sir Kim Duroch, was blacklisted in a chant by President Donald Trump after leaked cables revealed that Darrump Trump efficient. Market watchers also looked into the overall reform of Deutsche Bank and waited for comments from Federal Reserve Bank Jerome Powell, due later today.

Hammond talks with Mai about avoiding Britain's exit from the EU

On the other hand, British Chancellor of the Exchequer Philip Hammond offered to support the spending plan of outgoing Prime Minister Teresa Mae if she agreed to allow Conservative MPs free votes as part of his strategy to avoid Britain's exit from the European Union. The two have been involved in a dispute over May's intention to spend 27 billion pounds on education.

According to the report, Hammond will sign an old May plan before stepping down if Conservative lawmakers are not forced to vote for an option that would leave the EU without an agreement. Hammond was outspoken about his opposition to the no-agreement scenario and said he was trying to find a way to make it impossible.

European Stocks Open

• The DAX fell 0.72% at 9:15 CET. Bayer spin-Covestro and BASF were the worst performers, dropping 5.87% and 4.79% respectively, at 9:20 am CET.
• The FTSE 100 was 0.09% higher in the red zone at 9:15 CET.
• The CAC 40 index fell 0.17% at 9:16 CET, with banks among the biggest losers.

The euro lost 0.6% against the dollar to trade at 1.12071 at 9:14 CET. Meanwhile, the pound was down 0.23% against the US currency, trading at 1.24858.